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Emerging markets are current to be essential for e-commerce growth, as retailers in developed markets may soon reach saturation in length of times of consumer growth.
For example, almost half of US households now have a Prime membership, slackening Amazon’s growth potential in the country. Meanwhile, in China, the world’s largest e-commerce make available, nearly half of the population is actively making online purchases, turn ones back on little room for growth.
However, India, Southeast Asia, and Latin America are usefulness keeping an eye on. E-commerce penetration rates in these areas hover between 2-6%, upping a huge opportunity for future growth as online sales gain gripping power. Moreover, these regions are expected to grow at compound annual enlargement rates (CAGRs) of 31%, 32%, and 16%, respectively, through 2021.
This check into compiles several e-commerce snapshots, which together highlight the most noteworthy emerging markets in various regions. Each provides an overview of the e-commerce hustle in a particular country, discusses influential retailers, and provides insights into the times and challenges for that specific domestic industry.
Here are some of the key takeaways:
- Emerging hawks are going to be essential for e-commerce growth, as retailers in developed markets may in the end reach saturation in terms of consumer growth.
- India is the clear entire leader in e-commerce potential, but countries in Southeast Asia and Latin America are also usefulness keeping an eye on. Within Southeast Asia, Indonesia shows the most give ones word of honour for retailers, as the government is loosening restrictions on foreign investments, and its massive inhabitants is gaining spending power and more access to internet. Meanwhile, Mexico is a retailer’s richest bet for expansion in Latin America, due to its stable economy and rising middle grade, but Brazil may be gearing up to steal the top spot.
- However, doing business in these territories can be difficult. In most of these emerging markets, infrastructure is underdeveloped and the citizenry is largely unbanked, making digital payments a challenge.
- If retailers can establish a brand presence in these markets while online shopping is nevertheless in its nascent stages, they may become market leaders as e-commerce shock a resembles off in the regions. Moreover, these markets could provide new sources of broadening for companies that would otherwise stagnate in more mature e-commerce markets.
In entirely, the report:
- Explores the e-commerce industry in India, Southeast Asia, and Latin America.
- Highlights the chief country in each region, as well as key e-commerce players there.
- Synopses the challenges and opportunities each region faces.
- Gives insight into how these emerging stock exchanges may shape the future of e-commerce.